Home Investing in Mexico Investing in Real Estate in Huatulco: Short & Long-Term Benefits

Investing in Real Estate in Huatulco: Short & Long-Term Benefits

by Brent May

Huatulco is where we’ve called home for over 13 years. We feel so fortunate to be living here with so many genuine people, warm weather, great new projects, developments finishing and people taking possession. Whether you’re in the market to buy because you are ready to change location full or part-time or you are thinking of investing in real estate in Mexico, this article is for you. Here, we’ll talk about investing in Huatulco, in high-demand real estate, one of the safest and most convenient ways to grow your money in one of Mexico’s top emerging real estate markets.


Why Real Estate Investment?

Real estate is a tangible investment. As stocks, bonds and the banking sector in general are subject to volatility and even collapse, real estate is a proven, stable way to protect your wealth and an investment that you ultimately control.  You decide when to buy and sell. You decide on renting to the vacation market or having longer-term tenants, you decide to reinvest in your property by renovating. Of course, the real estate market is subject to economic cycles but as you likely already know, real estate investments are more insulated in an economically stable or growing region as is the case in Huatulco and Oaxaca state.

Read more: Huatulco and the Oaxaca Coast: A Top Emerging Market for Tourism and Real Estate Investment

Consider the Local Conditions

The profound change we see reflected in Mexico over the past 5 years is the change of place. Many people are exchanging their city apartments for sunny, ocean view homes in Mexico either full time or part time. People are being attracted to the south Pacific towns of Huatulco and Puerto Escondido like never before. They buy or rent longer term since many more people have geographical freedom now in their jobs.

Opting for a more laid-back lifestyle where money goes further attracts remote workers, young couples, families and retirees. Families love the opportunities for their children to have a broad cultural experience, to learn a new language and to mix with an international community. Children have opportunities for plenty of activities from surfing to tennis lessons.

Read more: The “Why” of Buying Huatulco Real Estate”


Short-term benefits of investing in real-estate in Huatulco


Invest in real estate through pre-sale pricing

Our Mexico Living Investors Club helps you take advantage of pre-sale prices. I negotiate with a developer to get a certain amount of inventory at pre construction prices. Those who get in early are getting big gains from the time construction starts to the time it is completed.

Our properties are in prime locations and are filled with endless amenities. Completed move-in ready inventory is limited with many new listings selling in less than 24 hours of being on the market.


Rent your new property immediately

Another short-term benefit of investing in real-estate in Huatulco is to rent it out quickly. Vacation rentals in Huatulco priorly rented out on average for $500-$5900 USD/week and generally for about 16 weeks per year. This comes to a total average revenue of $11,200 – $100,000 USD + per year.

However, now, annual occupancy rates of vacation rentals in Huatulco have increased to an average of over 50% across the board as winter shoulder seasons strengthen and the summer market grows.  More Americans and Canadians are coming down in the summer. We’re getting more surfers as one of the best surfing destinations in the world and executive style surfers; people who surfed when they were younger and come back with their families. So, the vacation rental market is actively growing providing you with a good ROI quickly.


Long-term benefits of investing in real-estate in Huatulco



You may buy low, let your property appreciate and sell high. Real estate is increasing in value in Huatulco over time. This is due to the location, commercial and residential development according to Huatulco’s low density master plan, accessibility to quality infrastructure services like Huatulco’s water treatment, and property management services. Keeping your property maintained appreciates its value.

Read more: Is It Safe to Drink the Water in Huatulco? Zoom on Huatulco’s World-Class Water Treatment Systems 


Pre-construction pricing

For investors focused on buying and flipping, we have a unique scenario where you partner with the developers. Investors purchasing at early bird Investors Club pricing are receiving gross returns of 25% to 50% over the course of roughly a two-year period and benefiting from strategic tax planning.


Higher returns

Investing in real estate in Mexico provides higher returns than banking products. We are seeing investors who are concerned about the stock market and want to put their investment in brick-and-mortar, volatility of Crypto, and potential devaluation of Fiat currency, wanting to put their money in beachfront, beach access, and marina front real estate on the Mexican coast. Whether a short or longer-term investment, your real estate investment will provide you with a rate of return above the inflation level. Your real estate assets will grow more healthily and profitably.


Sell at your convenience

Lastly, you may decide to sell your property at your convenience. You may decide to remodel to increase your property value and to sell at a higher price. Then reinvest to grow your wealth.


To sum up, the Mexican economy is strong. Real estate here is generally not supported by mortgages making it a stable investment in the face of interest rate fluctuations abroad. Real estate is mainly purchased and owned with cash.

The stability is not all about money though. It’s about lifestyle and quality of life. We are where everybody wants to be. An excellent climate with 340 days of sun per year, sustainably designed, world-class infrastructure, a small-town feel, safe, a long list of activities, an international airport, great cultural experiences, a friendly community, and a solid healthcare system. Plus, a lot of infrastructure development is happening in Oaxaca state. 

Read more: 5 Key Infrastructure Investment Projects Happening Now in Oaxaca

Read our article: Why People Are Moving to Huatulco

It does take a lot of knowledge, patience, intuition and the necessary skills to invest in property in Mexico.  We are always here to help you reach your goals! The future is bright in Huatulco! Get in touch today!


Read more: How To Escape To Mexico…And Why You Would Want To 




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